Smart Borrower Blog

Archive for the ‘Auto Loans’ Category

Serious Auto Loan Delinquencies Reach All-Time High

Feb 14th, 2019 @ 1:29 PM by Amber Nelson

More Americans are seriously delinquent on their car payments than ever before, according to new data from the Federal Reserve Bank of New York, a troubling sign amid a growing economy. Almost 7 million U.S. consumers are now behind on their auto loans by 90 days or more, the highest figure in the 19-year history […]

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Credit Card and Mortgage Delinquencies Rise in Latest Quarter

Jan 16th, 2019 @ 12:42 PM by Amber Nelson

While still well below historical averages, several categories of consumer credit delinquencies rose in the 2018 third quarter, including credit cards and home equity loans. According to data from the American Bankers Association, delinquencies increased in six of the 11 categories tracked in the ABA Consumer Credit Delinquency Bulletin. The composite ratio – a measure […]

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Monthly Car Loan Payments Reach Record High

Jan 2nd, 2019 @ 10:55 PM by Amber Nelson

Consumers are paying more and more for their cars each month, according to data from Experian Automotive, and auto lenders are starting to feel the risks of those higher payments. The average monthly loan payment for a new-vehicle rose to an all-time high of $530 in the 2018 third quarter, a 6% increase from the […]

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Subprime Auto Lending Grew in 3rd Quarter

Nov 21st, 2018 @ 2:07 PM by Amber Nelson

Originations of auto loans among borrowers with poor credit rose in the 2018 third quarter for the first time in over two years, according to the Federal Reserve Bank of New York. The New York Fed’s “Household Debt and Credit Report found that total new subprime – those with credit scores below 620 – auto […]

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Student Loan Defaults Could Reach 40% by 2023

Nov 7th, 2018 @ 11:22 AM by Amber Nelson

U.S. student loan borrowers are defaulting at such a steep rate that on the current trajectory as many as 40% of all borrowers could be in default within the next five years, according to a report from the Urban Institute. Student loans now make up the second-largest consumer debt category. Today there are more than […]

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Auto Loan Borrowers Turn to Refinancing for Savings

Aug 29th, 2018 @ 1:54 PM by Amber Nelson

New data from credit reporting bureau TransUnion shows that millions of U.S. car loan borrowers have turned to auto refinancing over the past several years to save money, with many refinancing even just a day or two after obtaining their original loan. A recent TransUnion study reported that 1.5 million borrowers have since refinanced their […]

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Consumer Household Debt Tops Record High

Aug 16th, 2018 @ 8:31 PM by Amber Nelson

Americans now have more debt than ever before, according to data from the Federal Reserve Bank of New York, but serious delinquency rates have remained near historic lows. Total U.S. household debt now amounts to $13.29 trillion as the of the 2018 second quarter, up 0.6% from the first quarter. This marks the 16th straight quarterly […]

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Auto Default Rates Hold Steady in June

Jul 18th, 2018 @ 9:10 PM by Amber Nelson

American car loan borrowers stayed on top of their payments in June at the same rate they did in May, according to data from the S&P Dow Jones Indices and Experian, the first time in six months that the default rate hasn’t changed on a monthly basis. Auto loan defaults made up 0.93% of all […]

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Credit Card Interest Rates Post 18-Year High

Jun 27th, 2018 @ 3:05 PM by Amber Nelson

American consumers are paying higher interest rates on their credit cards than they have in roughly 18 years, according to data from LendingTree.com, and they may pay even more before the end of the year. The average credit card rate today is 15.3%, based on information from LendingTree.com’s CompareCards.com, the highest level since 2000. Back […]

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New Car Buyer Monthly Payments Reach Record High

Jun 6th, 2018 @ 11:08 AM by Amber Nelson

Americans are paying more than ever for new cars, according to credit compiling firm Experian, and monthly payments have reach new heights, pushing affordability to record lows. During the first quarter of 2018, the average auto loan for a new vehicle topped $31,455, up $921 from the year before. The average monthly payment on new […]

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